VANCOUVER, BRITISH COLUMBIA--(Marketwired - July 18, 2016) - Homestake Resource Corporation (TSX VENTURE:HSR)(FRANKFURT:B6IH) ("Homestake" or the "Company") entered into a Loan Agreement with Auryn Resources Ltd. ("Auryn") dated May 10, 2016 which provided for the loan of $150,000 to fund the purchase of a NSR from Teck Resources Ltd., on its Homestake Ridge Property (see news release dated May 13, 2016) as to $100,000 and as to $50,000 to fund expenses towards negotiating and executing an Arrangement agreement with Auryn (see news release dated June 14, 2016).
The Loan Agreement contained a conversion feature allowing conversion of the indebtedness into Homestake common shares at a conversion price of $.10 per Homestake common share. Auryn has delivered a Conversion Notice and, accordingly and subject to the consent of the TSX-V Exchange, Homestake shall deliver to Auryn 1.5 million Homestake Common Shares in satisfaction of the indebtedness.
ON BEHALF OF THE BOARD OF DIRECTORS OF HOMESTAKE RESOURCE CORPORATION
"Joseph A. Kizis, Jr.", President & Director
The TSX Venture Exchange has not reviewed and does not accept responsibility for the accuracy or adequacy of this release. Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This press release contains forward-looking statements. All statements, other than statements of historical fact, constitute "forward-looking statements" and includes statement regarding the timing for completion of the grinding and flotation circuits, its effect on gold recovery, grade and average payable gold, as well as any other information that addresses activities, events or developments that the Company believes, expects or anticipates will or may occur in the future including the Company's strategy, plans or future financial or operating performance and other statements that express management's expectations or estimates of future performance.
Forward-looking statements are generally identifiable by the use of the words "may", "will", "should", "continue", "expect", "anticipate", "estimate", "believe", "intend", "plan" or "project" or the negative of these words or other variations on these words or comparable terminology. These statements, however, are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed, implied by or projected in the forward-looking information or statements. Important factors that could cause actual results to differ from these forward-looking statements include but are not limited to: risks related to the exploration and potential development of the Company's project, the actual results of current exploration activities, conclusions of economic evaluations, changes in project parameters as plans continue to be refined, future prices of gold, and other statements that express management's expectations or estimates of future performance.
There can be no assurance that any forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, the reader should not place any undue reliance on forward-looking information or statements. Except as required by law, the Company does not intend to revise or update these forward-looking statements after the date of this document or to revise them to reflect the occurrence of future unanticipated events.